Kirkland Lake Gold plans to spend $52 million on development at its Timmins East Operations in 2016, and will spend $8 million on an exploration program slated for late 2016 or early 2017.
The Timmins East complex includes the Holt, Holloway and Taylor mines, which Kirkland Lake Gold acquired in January following its takeover of St. Andrew Goldfields.
The company issued a release on its Q1 2016 earnings and an updated guidance on April 14.
Kirkland Lake Gold said gold production from the Macassa and East Timmins operations totalled 69,464 ounces for the first quarter of 2016, including 7,189 ounces at East Timmins during the first 25 days of January, prior to the merger.
The 2016 guidance includes production of between 270,000 and 290,000 ounces of gold across its operations, $120 million in capital expenditures, and $18 million in exploration.
Development continues at the company’s Macassa Complex, where workers achieved 365 days without a lost-time injury.
In March, Kirkland Lake Gold was the recipient of the 2015 People's Choice Award (for mining and forestry) from the Kirkland Lake District Chamber of Commerce.
President and CEO George Ogilvie called the first quarter “solid,” and expressed optimism about the future of the company.
“The acquisition and integration of the East Timmins Operations has allowed us to de-risk the business so that we can focus on unlocking future upside for our shareholders within the current suite of assets, and through organic growth in two prolific Canadian mining camps,” he said.
“We strongly believe that with the foundation we have built over the past two years, we have a solid footing for continued success."
The company will release its full Q1 2016 report on May 16.
